Up to 205 local traders nationwide were permitted to export rice as of January 18, following a list released by the Ministry of Industry and Trade’s Agency of Foreign Trade.

The rice storage of Song Hau Food Company in Can Tho city

Per the list, the Mekong Delta City of Can Tho saw the highest number of licensed rice exporters at 43. Ho Chi Minh City ranked second with 38 eligible rice exporters, followed by the southern provinces of Long An, An Giang and Dong Thap at 25, 20 and 18, respectively.

Other localities with licensed rice exporters were Tien Giang and Hanoi with eight, Nghe An with seven, and Kien Giang and Vinh Long at six. 

Meanwhile, other localities had only one permitted rice exporter, such as Dak Nong, Tra Vinh, Tay Ninh, Binh Dinh, Binh Duong, Ha Tinh, Nam Dinh and Ninh Binh. 

Despite a modest decline of 3.5% in export volume to 6.15 million tonnes mainly due to the Government's efforts to ensure national food security amid the COVID-19 pandemic, rice shipments still recorded turnover of nearly US$3.1 billion in 2020, a year-on-year increase of 9.3%.

The export price of Vietnamese rice reached US$499 per tonne, up 13.3% compared to 2019. This was the highest price of rice for export in recent years, which brought about benefits for local rice farmers.

The Philippines was still the top importer of Vietnamese rice in 2020, purchasing 2.22 million tonnes worth US$1.06 billion, a year-on-year surge of 4% in volume and 19.3% in value, according to the General Department of Customs.

This was a record high for rice export volume to this traditional market and it was also the first time the value exceeded the US$1 billion mark. In addition, the export price to the Philippines surged in the year, hitting US$476 per tonne on average, up 14.7% against 2019.

The Philippines remained the leading market of Vietnamese rice, holding the lion’s share of 35.5% and 33.9% in total volume and export revenue of the country.

The Vietnam Food Association forecasts a bright picture for the country's rice exports in the first quarter of 2021 as main export outlets such as the Philippines and Africa have signed contracts to buy rice from Vietnam

According to the association, the Asian rice market started to heat up again when many potential customers mainly from China, Bangladesh and the Philippines were urgently buying. 

Thus, rice exports this year would likely top 6 million tonnes, the association predicted. 

Trade experts said the country was switching to exporting more fragrant and high-quality rice at a higher price and added value. Furthermore, local rice farmers and traders had paid much attention to improving the quality of rice, origin traceability as well as adopted measures to meet the requirements of demanding markets like the EU, the Republic of Korea and the US.